Gainesville’s November 4th referendum asks voters to return Gainesville Regional Utilities (GRU) to the City Commission. Since 2023, GRU has been under a state-appointed authority. One side champions home rule and direct voter influence, the other points to the financial gains made since Tallahassee took over. 

Our story begins in 2009 with the City Commission’s decision to partner with a private company to build the Gainesville Renewable Energy Center (GREC), a biomass power plant. Like Ben Wyatt’s Ice Town, GREC is a running gag with a tear-inducing price tag. 

The initial contract was criticized for obligating GRU (and its customers) to pay through the nose. Though GRU later bought out the contract in 2018, turning its $2.1 billion obligation into a $750 million purchase, this did not stop GRU’s overall debt ballooning to over $2 billion. 

Repeated credit downgrades and some of the highest utility rates in Florida followed, setting the stage for outside intervention. This culminated in the passage of House Bill 1645. Understandably, some citizens are reluctant to hand back the reins to the City Commission, the same institution that made the mess.  

Those in favor contend that the City Commission is more accountable than DeSantis’s appointees. Proponents, including Mayor Harvey Ward, stress that GRU is a publicly-owned asset and should therefore be managed by officials who answer to the folks footing the bills. In theory, anyway. 

“Home rule”—a principle enshrined in Florida’s constitution—has become a rallying cry for those wary of state overreach. Voters have a clear, though delayed and highly imperfect, form of recourse: they can give their reps the boot. Advocates contrast this with the Authority, whose members are harder to influence or remove.  

Those in favor of retaining the status quo focus on performance and management efficiency. They point to the Authority’s accomplishments over the last two years, citing $177 million in reduced debt and lower residential electric bills. 

GRU’s current CEO, Ed Bielarski, contends that the overwhelming debt accumulated under the previous Commission necessitated this structure. By keeping the Authority, management can focus on sound business decisions and keep the General Services Contribution (GSC)—the transfer of money from GRU to the City’s General Fund—low, preventing the still recovering utility from becoming another unprotected piggybank.

Under the City Commission, the GSC transfer reached $38 million. The Authority has drastically reduced this amount. The city argues this has slashed funding for essential services, but the Authority defends it as a necessary step to securing GRU’s financial health. The referendum alone will cost an estimated $250,000. So, we’re not exactly off to a running start. Granted, that depends on your perspective. 

Lastly, the Authority asserts that it better represents “extraterritorial customers”—the 35% of GRU users who live outside of Gainesville. Under the previous structure, these customers paid rates and fees set by officials they cannot directly support or depose. Proponents of returning to City Commission control counter that these customers have little real influence over state-appointed officials anyway.

Regardless of the outcome, the people of Gainesville (and its outlying areas) will probably get the shaft.

References and Suggested Reading

Florida Senate. “CS/HB 1645 City of Gainesville, Alachua County.” Accessed [Date you accessed]. URL: https://www.flsenate.gov/Session/Bill/2023/1645/Analyses/h1645z1.SAC.PDF

Alachua Chronicle. “Judge denies temporary injunction against GRU referendum.” Accessed [Date you accessed]. URL: https://alachuachronicle.com/judge-denies-temporary-injunction-against-gru-referendum/

League of Women Voters of Alachua County (LWVAC). “LWVAC Position on GRU Local Public Utilities November Referendum.” Accessed [Date you accessed]. URL: https://my.lwv.org/florida/alachua/article/lwvac-position-gru-local-public-utilities-november-referendum

The Independent Florida Alligator. “GRU referendum folo.” Accessed [Date you accessed]. URL: https://www.alligator.org/article/2024/05/gru-referendum-fol

WUFT. “What’s happening with GRU? Here’s an explainer as its control shifts to new authority.” July 31, 2023. https://www.wuft.org/politics/2023-07-31/whats-happening-with-gru-heres-an-explainer-as-its-control-shifts-to-new-authority

Gainesville Regional Utilities. “Proposed Gainesville Renewable Energy Center Asset Purchase Agreement Evaluation.” May 18, 2017. https://www.gainesvillefl.gov/files/assets/public/city-auditor/documents/170010-proposed-grec-asset-purchase-agreement-eval-20170518.pdf

Gainesville Public Information Services. “GRU Fight: Mayor Ward Vs. GM Bielarski.” October 31, 2025. https://www.gnvinfo.com/gru-fight-mayor-ward-vs-gm-bielarski/

Mainstreet Daily News. “Gainesville leaders debate GRU Authority’s impact on utility management.” October 28, 2025. https://www.mainstreetdailynews.com/govt-politics/gainesville-debate-gru-authority-impact